The Buy-To-Let market took a big hit in 2017 with Phillip Hammonds’ budget’s and Brexit becoming a reality. For the first time in over 20 years, the amount of residential mortgages has overtaken the number of Buy-To-Let mortgages. Reduced tax relief has forced landlords to divert these extra costs onto their tenants, with You Move figures suggesting that rents have increased on average 2.4% this year.
Experts are hopeful for the future of the Buy-To-Let market in Manchester though. EveryInvestor has suggested that ‘Manchester is tipped for rapid growth over the years ahead. Its population is projected to expand by 20% by 2025, reaching 625,000 residents’ and with ‘40,000 homes’ fewer homes than required, we expect to see an increase in development in the city.
The surrounding areas are benefiting from the increased investment and expansion of Manchester city centre. With prices rapidly increasing in the city centre, this will filter out to the surrounding towns where applicants are likely to seek more affordable rents or purchase prices.
We do believe the large-scale investment currently taking place in Manchester will mean the Buy-To-Let market in the city centre and surrounding areas will be sustainable, with landlords being able to benefit from increasing demand.